Core infrastructure sector output in July grows at 9.4% due to low base effect

The output of eight core infrastructure sectors rose by 9.4 per cent in July due to a low base effect, government data released on Tuesday showed.

In the year-ago period, it had dipped by 7.6 per cent due to the impact of COVID-19 pandemic. In June this year, the growth was 9.3 per cent.

The output of these sectors altogether make up 40 per cent of the Index of Industrial production (IIP).

"The production of coal, natural gas, refinery products, fertilisers, steel, cement and electricity industries increased in July 2021 over the corresponding period of last year," said a statement released by the Ministry of Commerce and Industry.

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However, crude oil production with a weightage of 8.98 per cent declined by 3.2 per cent in July over the same period of last year. Its cumulative index declined by 3.4 per cent during April to July 2021-22 over the corresponding period of previous year.

But coal production in July went up by 18.7 per cent, natural gas by 18.9 per cent, petroleum refinery products by 6.7 per cent, fertilisers by 0.5 per cent, steel by 9.3 per cent, cement by 21.8 per cent and electricity by 9 per cent.